The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

The Bahamas must improve financial literacy to take its capital markets to the next level, the Bahamas Institute of Chartered Accountants (BICA) president said yesterday.

Speaking at a Securities Commission panel discussion, Gowon Bowe said there was a lack of understanding in the Bahamas about how the capital markets work.

“There is a notion of capital markets but not an understanding,” he said. “An understanding of the capital markets is what is necessary. We need to have financial literacy. Persons in the Bahamas would, by and large, define our capital markets as BISX, which is actually in any major capital market environment a small percentage of what is actually transacting in capital markets.

“In the simplest of terms, capital markets is no different than Kelly’s or Super Value. It is matching the suppliers of goods and services, which in this case is money, with persons that have an idea that needs capital. We need to have a better understanding and communication of what is capital markets, and what things are being transacted. Education of the masses is required to take our capital markets to the next level.”

Barry Williams, Aliv’s chief financial officer, said: “There are some good things about the capital markets in terms of the level of broker/dealers and the ability of companies to raise funds.

“I think that with respect to the local, or small man, on the street, I would agree that it is dismal because the ability of those individuals to access the capital markets is quite challenging but, from a corporate perspective, I think it is quite good.”